Seattle hates jobs

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GreenGoo
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Re: Seattle hates jobs

Post by GreenGoo »

So what you're saying is that prior to the rise in minimum wage, the kiosks were not cost effective, but post rise, they are. Am I understanding you correctly?

I wonder what the break point is? Perhaps we should have asked McDonald's how much they were willing to pay their employees before replacing them, then we could have raised the minimum just enough to be under the "everyone loses their jobs" limit. :wink:

On the plus side, think of all those high paying IT jobs that were just created to maintain the kiosks.

You go Seattle.
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Re: Seattle hates jobs

Post by Isgrimnur »

I look forward to the kiosk riots of 2017.
It's almost as if people are the problem.
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Re: Seattle hates jobs

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Isgrimnur wrote:Jackin the Box was testing that in my area years ago. Like the Coke freestyle machines, it creates a backlog as people have to figure out how to work them. But honestly, if I can order food via Internet, I can order it via kiosk.

Every type of job that was ever created is not a license to always have it available.
There's a Panera Bread by my office that has both. Regular cashiers and then a bunch of kiosks. There's one employee pimping the kiosks and helping people use them. Presumably to help speed along their adoption.

I only go there because Panera gift cards are are a common gift around the office but the kiosks don't work with gift cards. :doh:
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Re: Seattle hates jobs

Post by GreenGoo »

Isgrimnur wrote:I look forward to the kiosk riots of 2017.
Nice, Isgrim. The article even touches on the concept of minimum wage as well, so it's apropos for a number of reasons.
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Re: Seattle hates jobs

Post by Pyperkub »

Moliere wrote:Welcome to a higher minimum wage.

Image
It was going to happen regardless. Look at supermarkets and airline checkin kiosks and drones. Unskilled labor has a very small future in the US.

and some other occupations.
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Re: Seattle hates jobs

Post by Jeff V »

Pyperkub wrote: It was going to happen regardless. Look at supermarkets and airline checkin kiosks and drones. Unskilled labor has a very small future in the US.
Oddly enough, one of the major grocery store chains in the area is in the process of pulling all of the self-checkouts and replacing them with a manned express checkout queue that can accommodate additional cashiers when needed. They always needed one or two live bodies anyway to address problems in the self-checkout lanes, this probably is a faster solution that is more consumer-friendly. And it's a union chain, so the cashiers are doing better than minimum wage (although they make frequent use of mentally handicapped for baggers -- I can't imagine they are being paid particularly well).

It comes down to competitive advantage. Some things that are taken away in the name of cost-reduction get added back when someone finds out that consumers would rather choke people than kiosks when their needs aren't being met. This is especially true when the economy is doing well, profits can support added staff, and consumers will pay for added service. Personally, I prefer having a person do such things for me; self-checkout doesn't really save me any time, and if lines for cashiers aren't too long I'll almost always choose a live person instead.
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Re: Seattle hates jobs

Post by LawBeefaroni »

Jeff V wrote:
Pyperkub wrote: It was going to happen regardless. Look at supermarkets and airline checkin kiosks and drones. Unskilled labor has a very small future in the US.
Oddly enough, one of the major grocery store chains in the area is in the process of pulling all of the self-checkouts and replacing them with a manned express checkout queue that can accommodate additional cashiers when needed. They always needed one or two live bodies anyway to address problems in the self-checkout lanes, this probably is a faster solution that is more consumer-friendly. And it's a union chain, so the cashiers are doing better than minimum wage (although they make frequent use of mentally handicapped for baggers -- I can't imagine they are being paid particularly well).

It comes down to competitive advantage. Some things that are taken away in the name of cost-reduction get added back when someone finds out that consumers would rather choke people than kiosks when their needs aren't being met. This is especially true when the economy is doing well, profits can support added staff, and consumers will pay for added service. Personally, I prefer having a person do such things for me; self-checkout doesn't really save me any time, and if lines for cashiers aren't too long I'll almost always choose a live person instead.
Jewel? I hate that they've removed the self-checkout at our local stores.

WFM is also starting to do the express corral thing, though they never had self-checkout.
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Re: Seattle hates jobs

Post by Jeff V »

Yes, Jewel, and I don't mind at all that they did. This morning I popped into Walmart at 7:30 am to buy a single item, only 3 of 4 self-checkouts were operational, and each one of them had slack-jawed people staring at them as if trying to decipher the Rosetta Stone. It's even more annoying than the people who take so much time at the ATM machine that I can only assume they are trying to renegotiate their mortgage.

It's not the time-saving convenience someone imagined it would be; and if it means providing jobs for a few more kids, I'm all for it. In some instances though -- check-in kiosks at the airport for example, the technology really has proven to be helpful (except when traveling with a baby, self-check in is not allowed :x )
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Re: Seattle hates jobs

Post by em2nought »

Jeff V wrote: This morning I popped into Walmart at 7:30 am to buy a single item, only 3 of 4 self-checkouts were operational, and each one of them had slack-jawed people staring at them as if trying to decipher the Rosetta Stone. It's even more annoying than the people who take so much time at the ATM machine that I can only assume they are trying to renegotiate their mortgage.
It's even more annoying when the person in front of you at the bank's drive up window starts filling out their forms when they get to the window or item shuttle. Having to remember how to make their letters or do math must be a bitch, and it would interrupt their text messaging while waiting in line.

Or the old lady in the grocery store that doesn't pull out her checkbook until they give her the total(after going through all the coupons). Then she pulls it out, searches for her pen, and then finally starts to fill in the check. Like she didn't know she'd be putting Publix on the payee line. lol Little old ladies please have your checkbook in hand at the cashier that way I can chose another line. :mrgreen:
Technically, he shouldn't be here.
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Re: Seattle hates jobs

Post by Jeff V »

Checks need to go away, period. At the very least, it should no longer be accepted at places such as grocery stores.
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Re: Seattle hates jobs

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Jeff V wrote:Yes, Jewel, and I don't mind at all that they did. This morning I popped into Walmart at 7:30 am to buy a single item, only 3 of 4 self-checkouts were operational, and each one of them had slack-jawed people staring at them as if trying to decipher the Rosetta Stone. It's even more annoying than the people who take so much time at the ATM machine that I can only assume they are trying to renegotiate their mortgage.
I liked the Jewel self-checkouts because most people didn't like them so they were usually wide open.
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Re: Seattle hates jobs

Post by Moliere »

L.A. labor leaders seek minimum wage exemption for firms with union workers
"With a collective bargaining agreement, a business owner and the employees negotiate an agreement that works for them both. The agreement allows each party to prioritize what is important to them," Hicks said in a statement. "This provision gives the parties the option, the freedom, to negotiate that agreement. And that is a good thing."
:lol:
Because unions and business owners can come to a mutually agreeable term on wages, even if it's below the minimum wage, but individuals are somehow incapable of doing the same thing.
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Re: Seattle hates jobs

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Moliere wrote:L.A. labor leaders seek minimum wage exemption for firms with union workers
"With a collective bargaining agreement, a business owner and the employees negotiate an agreement that works for them both. The agreement allows each party to prioritize what is important to them," Hicks said in a statement. "This provision gives the parties the option, the freedom, to negotiate that agreement. And that is a good thing."
:lol:
Because unions and business owners can come to a mutually agreeable term on wages, even if it's below the minimum wage, but individuals are somehow incapable of doing the same thing.
It's a last minute reveal. Labor campaigned for the minimum wage and now that it looks like it will go through, they ask for their exemption. Non-union employees and employers are left holding the bag.
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Re: Seattle hates jobs

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I can't say for certain but based on the articles, it doesn't sound like the LA ordinance has the same wage or health care provisions that the Seattle one does, which would be a major reason for labor to want to negotiate.
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Re: Seattle hates jobs

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I'm not following. The union reps want to be allowed to negotiate for below minimum wage salaries?
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Re: Seattle hates jobs

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GreenGoo wrote:I'm not following. The union reps want to be allowed to negotiate for below minimum wage salaries?
Of course. It gives them more options when negotiating. Non-union employees come with a set minimum price. That allows for employers to grant all union benefit concessions and still be able to afford union workers over non-union ones. At the very least, it brings non-union workers more in line with higher paid union workers, again making union workers less unattractive to employers.

It also gives unions exclusive control over sub $15/hr employees. If jobs get scarce there will be plenty of people willing to work for below minimum wage.

Bottom line, IMO, is that it increases union power and membership. More dues = more money. It's a strategic move to help unions, not workers.
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Re: Seattle hates jobs

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GreenGoo wrote:I'm not following. The union reps want to be allowed to negotiate for below minimum wage salaries?
There's also the matter of benefits (which I was alluding to from my phone). The Union could ,for example, negotiate for better health care to be paid completely by the employer (which could be worth more than $15/hr all by itself) or a Pension, etc. in lieu of a higher base pay rate.
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Re: Seattle hates jobs

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LawBeefaroni wrote:
GreenGoo wrote:I'm not following. The union reps want to be allowed to negotiate for below minimum wage salaries?
Of course.
Ah. Ok.

No.

That was easy.
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Re: Seattle hates jobs

Post by Pyperkub »

The plural of anecdotes is not data, however...
Menu prices are up 21 percent and you don't have to tip at Ivar's Salmon House on Seattle's Lake Union after the restaurant decided to institute the city's $15-an-hour minimum wage two years ahead of schedule.

It is staff, not diners, who feel the real difference, with wages as much as 60 percent higher than before. One waitress is saving for accounting classes and finding it easier to take weekend vacations, while another server is using the added pay to cover increased rent....

... Ivar's approach, adopted in April, offers lessons in how some businesses might adapt. Ivar's Seafood Restaurants President Bob Donegan decided to raise prices, tell customers that they don't need to tip, and parcel the added revenue among the hourly staff...

..The restaurant's revenue is up 20 percent, said Donegan, who served on the mayoral committee that drafted the minimum wage law.

A few other table-service restaurants have started following suit, and Donegan said he gets inquiries every day from owners wondering how Ivar's policy is working.
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Re: Seattle hates jobs

Post by Moliere »

Pyperkub wrote:The plural of anecdotes is not data, however...
Menu prices are up 21 percent and you don't have to tip at Ivar's Salmon House on Seattle's Lake Union after the restaurant decided to institute the city's $15-an-hour minimum wage two years ahead of schedule.

It is staff, not diners, who feel the real difference, with wages as much as 60 percent higher than before. One waitress is saving for accounting classes and finding it easier to take weekend vacations, while another server is using the added pay to cover increased rent....

... Ivar's approach, adopted in April, offers lessons in how some businesses might adapt. Ivar's Seafood Restaurants President Bob Donegan decided to raise prices, tell customers that they don't need to tip, and parcel the added revenue among the hourly staff...

..The restaurant's revenue is up 20 percent, said Donegan, who served on the mayoral committee that drafted the minimum wage law.

A few other table-service restaurants have started following suit, and Donegan said he gets inquiries every day from owners wondering how Ivar's policy is working.
Any accountants want to explain how this might impact IRS tipping rules? I thought the IRS assumes a waitress earns tips and therefore taxes based on a percentage of wages or something like that.
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Re: Seattle hates jobs

Post by msteelers »

When I was a server you had to declare your tips in the computer system at the end of each shift. The computer had a minimum you could declare based on your ticket sales. One time my tip was less than the minimum allowed. All that happened was the manager had to confirm that I was a bad server that night.

Long story short, I don't think the IRS assumed anything with my paychecks. They taxed me based on the info provided by my employer.
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Re: Seattle hates jobs

Post by noxiousdog »

That and the IRS only looks if you're making $2.13/hr. They won't pay any attention if they are making $15.
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Re: Seattle hates jobs

Post by Jeff V »

Moliere wrote: Any accountants want to explain how this might impact IRS tipping rules? I thought the IRS assumes a waitress earns tips and therefore taxes based on a percentage of wages or something like that.
I'm not an accountant, and the last time I dealt with this, Ronald Reagan was still president. Back then, employees needed to be classified as "tipped employees." Note this doesn't say employees aren't getting tipped at all, only that customers are not required. The restaurant I managed was a little different than most; waitresses also did food prep and clean-up. They received minimum wage or better, not the "tipped employee" minimum. We did not record their tips on a daily basis; the employees were advised to track it themselves, and every year their W2 forms contained "allocated tips", which was determined from a percentage the restaurant gross receipts (because of the type of restaurant and that they were not full tipped employees, the percentage was lower than other restaurants, IIRC about 8%) divided by the hours each qualifying employee worked. If you wanted to stay out of trouble, you at least declared the amount in "allocated tips," although you technically should be declaring the actual amount logged.

I would be curious to see how this affects tipped employees who previously made more than $15 per hour in tips. Would the restaurant decide to keep tips up to the $15 mark, returning surplus to the employee? If the higher-price/no tipping thing catches on, well-off waiters are going to suffer if it becomes impossible to make as much as they used to.
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Re: Seattle hates jobs

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LordMortis wrote:I'm also surprised that this hasn't shown here, being a company based in Seattle.

http://www.nytimes.com/2015/04/14/busin ... -year.html
Dan Price, Seattle CEO who set company minimum wage at $70K, struggles to make ends meet:
Washington Times wrote:The Seattle CEO who raised salaries for all of his employees to a minimum of $70,000 a year, drawing accusations of socialism, now says he has fallen on hard times.

Dan Price, the 31-year-old CEO of credit-card processing firm Gravity Payments, told The New York Times that things have gotten so bad for him financially that he’s been forced to rent out his own house to make ends meet.

“I’m working as hard as I ever worked to make it work,” he said, The Times reported Friday. “I’m renting out my house right now to try to make ends meet myself.”

Just three months ago, Mr. Price made headlines after he announced he would give all 120 of his employees a minimum salary of $70,000, slashing his own $1 million pay check to pay for it. He made the drastic decision to address the wage gap.

Now Mr. Price says the decision has cost him a few customers and two of his “most valued” employees, who quit after newer, less skilled employees ended up with bigger salary hikes than those who had been working longer for the company.

“He gave raises to people who have the least skills and are the least equipped to do the job, and the ones who were taking on the most didn’t get much of a a bump,” said Maisey McMaster, 26, Gravity’s financial manager, the Times reported.

Ms. McMaster, who has now quit the company, said that when she approached Mr. Price with her concerns about the wage changes, he treated her as if she was being selfish.

“That really hurt me,” she said, the Times reported. “I was taking about not only me, but everyone.”

Grant Moran, 29, also quit after the pay changes were enacted.

“Now the people who were just clocking in and out were making the same as me,” he told The Times. “It shackles high performers to less motivated team members.”
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Re: Seattle hates jobs

Post by Isgrimnur »

Sounds like he's suffering for his own bad decisions regarding pay and workforce management.
It's almost as if people are the problem.
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Re: Seattle hates jobs

Post by Moliere »

Are you telling me pay rates are more complex than armchair social scientists post on the internet? It's like we're all individuals or something.
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Re: Seattle hates jobs

Post by LordMortis »

I guess.

From the sound of it 70,000k was too high. Mayhap he should have made the same commitment and made a more equitable with a lower bottom tier raise and been quieter about it.

I guess this help illustrate why employers frown on employees discussing wages with one another.
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Re: Seattle hates jobs

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Washington Times wrote:The Seattle CEO who raised salaries for all of his employees to a minimum of $70,000 a year, drawing accusations of socialism, now says he has fallen on hard times.
A private company setting wages for their employees is socialism now?
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Re: Seattle hates jobs

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msteelers wrote:
Washington Times wrote:The Seattle CEO who raised salaries for all of his employees to a minimum of $70,000 a year, drawing accusations of socialism, now says he has fallen on hard times.
A private company setting wages for their employees is socialism now?
What was the CEO's decision making process? Was it based on the free market of what an employee should be paid according to an individual's experience, expertise, and industry standard for that role or was he running some kind of social experiment based on b.s. economics and media propaganda?
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Re: Seattle hates jobs

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Moliere wrote:
msteelers wrote:
Washington Times wrote:The Seattle CEO who raised salaries for all of his employees to a minimum of $70,000 a year, drawing accusations of socialism, now says he has fallen on hard times.
A private company setting wages for their employees is socialism now?
What was the CEO's decision making process? Was it based on the free market of what an employee should be paid according to an individual's experience, expertise, and industry standard for that role or was he running some kind of social experiment based on b.s. economics and media propaganda?
He read an article that said people were happier when they made about 70k because of the extra money they had to live with. The study indicated that people above that level (or there abouts) weren't any happier than the people at that level...thus the new salary.
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Re: Seattle hates jobs

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msteelers wrote:
Washington Times wrote:The Seattle CEO who raised salaries for all of his employees to a minimum of $70,000 a year, drawing accusations of socialism, now says he has fallen on hard times.
A private company setting wages for their employees is socialism now?
I doubt anyone was seriously suggesting it was socialism in the literal sense. More likely that it was simply analogous to the pie-in-the-sky fuckwittery of socialism.
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Re: Seattle hates jobs

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Anonymous Bosch wrote:
msteelers wrote:
Washington Times wrote:The Seattle CEO who raised salaries for all of his employees to a minimum of $70,000 a year, drawing accusations of socialism, now says he has fallen on hard times.
A private company setting wages for their employees is socialism now?
I doubt anyone was seriously suggesting it was socialism in the literal sense. More likely that it was simply analogous to the pie-in-the-sky fuckwittery of socialism.
In the comments on that story, there are definitely people who think this is literally socialism.
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Re: Seattle hates jobs

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AWS260 wrote:
Anonymous Bosch wrote:
msteelers wrote:
Washington Times wrote:The Seattle CEO who raised salaries for all of his employees to a minimum of $70,000 a year, drawing accusations of socialism, now says he has fallen on hard times.
A private company setting wages for their employees is socialism now?
I doubt anyone was seriously suggesting it was socialism in the literal sense. More likely that it was simply analogous to the pie-in-the-sky fuckwittery of socialism.
In the comments on that story, there are definitely people who think this is literally socialism.
Broadly speaking, Internet comment sections strike me as the armpit fartnoises of rational discourse. So if you came across some witless remarks posted there, my response would be "No shit, Sherlock."
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Re: Seattle hates jobs

Post by LawBeefaroni »

stessier wrote: He read an article that said people were happier when they made about 70k because of the extra money they had to live with. The study indicated that people above that level (or there abouts) weren't any happier than the people at that level...thus the new salary.
Heh, I doubt that study was done with Seattle's cost of living factored in.
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Re: Seattle hates jobs

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LawBeefaroni wrote:
stessier wrote: He read an article that said people were happier when they made about 70k because of the extra money they had to live with. The study indicated that people above that level (or there abouts) weren't any happier than the people at that level...thus the new salary.
Heh, I doubt that study was done with Seattle's cost of living factored in.
Here's the study. It doesn't look like regional differences were taken as a factor - just income reported. They sampled the whole US, though, so it's likely high cost regions were included.
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Re: Seattle hates jobs

Post by GreenGoo »

I'd like a look at his books. Why did his business fail? I'm not willing to infer what they are implying without proof.
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Re: Seattle hates jobs

Post by LawBeefaroni »

GreenGoo wrote:I'd like a look at his books. Why did his business fail? I'm not willing to infer what they are implying without proof.
He's lost some top talent but I'm not sure his business failed. He paid for the higher salaries out of his own $1M paycheck so if he cut his own pay by a lot, he'd be struggling with his personal finances (AKA "fallen on hard times" as the article says). That's why he renting out his house, etc.
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stessier
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Re: Seattle hates jobs

Post by stessier »

GreenGoo wrote:I'd like a look at his books. Why did his business fail? I'm not willing to infer what they are implying without proof.
It hasn't failed yet, just tough. If you read the article, he says lost 3 big clients because of the change - they thought he was going to have to raise prices. He also lost some experienced people because they didn't like everyone being raised to that level. He has gotten some new business from companies that like his salary ideas, but he says it will be about a year before they start showing a profit from them. Finally, his 30% partner (his brother) is suing him for using company funds for the salary hike and the company doesn't have the cash to fight the suit on top of everything else.
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Alefroth
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Re: Seattle hates jobs

Post by Alefroth »

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Jaymann
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Re: Seattle hates jobs

Post by Jaymann »

Somebody needs to buy a decimal point.
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